This Company Is More Investable Than It’s Ever Been And Is Rated A “Buy”

As difficult as it might be to believe, we could be at the beginning of another decade-long bull market. When I started investing, in early 2010, almost nobody back then could believe that a bull market had already started.

Yet that long, slow burn lasted for more than 10 years. This one, though, coming off the pandemic-fueled crash last spring, is turning into a more explosive affair.

And that’s making it difficult to find great deals on great stocks. However, this extra challenge might just mean extra reward.

I’d know a lot about challenges and rewards. By challenging myself to live below my means and regularly invest in high-quality stocks, I was able to retire in my early 30s.

Dividend growth investing. This strategy espouses buying and holding shares in world-class enterprises paying reliable, rising dividends.

I built out the FIRE Fund using the tenets of this strategy. That’s my real-money dividend growth stock portfolio, and it produces enough five-figure dividend income for me to live off of.

This strategy is amazing. But it can be amplified by finding those great deals. Price is only what you pay, but value is what you actually get.

An undervalued dividend growth stock should provide a higher yield, greater long-term total return potential, and reduced risk. This is relative to what the same stock might otherwise provide if it were fairly valued or overvalued.

Price and yield are inversely correlated. All else equal, a lower price will result in a higher yield. That higher yield correlates to greater long-term total return potential.

This is because total return is simply the total income earned from an investment – capital gain plus investment income – over a period of time. Prospective investment income is boosted by the higher yield.

But capital gain is also given a possible boost via the “upside” between a lower price paid and higher estimated intrinsic value.

Bristol-Myers Squibb Co. (BMY) is a global biopharmaceutical company that is engaged in discovering, developing, and delivering a range of medicines to help people overcome serious diseases.

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Disclaimer: Please consult with a licensed investment professional before investing any of your money. Never invest in a security or idea featured on this channel unless you can afford to lose ...

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